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UNDERLYING
SALES GROWTH*
4.3%
2.9%
4.1%
2013 2014 2015
UNDERLYING
VOLUME GROWTH*
2.5%
1.0%
2.1%
2013 2014 2015
CORE OPERATING
MARGIN*
14.1%14.5%14.8%
2013 2014 2015
FINANIAL OVERVIEW 2015
ONSOLIDATED INOME STATEMENT
Turnover grew by 10% to 533 bllon helped by a postve currency mpact of 59% (2014 negatve
46%) wth a strong boost n the frst half of the year due to a weaker euro Underlyng sales growth
was 41% (2014 29%) balanced between volume growth of 21% (2014 10%) and prcng of 19%
(2014 19%) Acqustons and dsposals had a negatve mpact of 01% (2014 negatve 09%) Emergng
markets contrbuted 58% of total turnover (2014 57%) wth underlyng sales growth of 71% (2014
57%) of whch 27% was volume growth urrency devaluaton contnued to push up the cost of lvng
for consumers n many of the emergng markets Our performance n developed markets was flat
wth good volume growth n Europe beng offset by prce deflaton
ore operatng margn was up 03 percentage ponts to 148% ross margn was up 08 percentage
ponts to 422% drven by margn-accretve nnovaton, prcng and contnued delvery from our savngs
programmes, whch more than offset currency-related cost ncreases and hgher costs on brand and
marketng nvestment ommodty costs ncreased by about 4% Whle the prce of many commodtes,
such as ol, n US dollars fell durng 2015, commodty costs n local currences ncreased as devalung
currences mported nflaton nto local raw materal producton Overheads ncreased by 03 percentage
ponts reflectng an adverse currency translaton mpact and favourable one-off tems n the pror year,
such as property sales n Inda
Operatng proft was down 6% at 75 bllon compared wth 80 bllon n 2014 Ths ncludes a
charge of 350 mllon for non-core tems (2014 credt of 960 mllon ncludng a 1,392 mllon
gan from busness dsposals)
Hghlghts for the year ended 31 December
2015 2014 %
change
Turnover ( mllon) 53,272 48,436 10
Operatng proft ( mllon) 7,515 7,980 (6)
ore operatng proft ( mllon)* 7,865 7,020 12
Proft before tax ( mllon) 7,220 7,646 (6)
Net proft ( mllon) 5,259 5,515 (5)
Dluted earnngs per share () 172 179 (4)
ore earnngs per share ()* 182 161 14
The net cost of fnancng borrowngs was 372 mllon compared wth 383 mllon n 2014 The
average nterest rate on net debt mproved to 30% (2014 35%) largely as a result of hgher returns
on nvestments Pensons fnancng was a charge of 121 mllon compared wth 94 mllon n 2014
The effectve tax rate was 276% versus 282% n 2014 whch ncluded 08 bllon tax relatng to
busness dsposals
Net proft from ont ventures and assocates together wth other ncome from non-current
nvestments was 198 mllon compared wth 143 mllon n 2014 Ths reflects ncreased proft
on dsposal of assocates and hgher ncome from ont ventures At 172, dluted EPS was down
4% as the pror year ncluded the proft on busness dsposals ore EPS ncreased by 14% to
182, ncludng a favourable currency mpact of 3%
The ndependent audtors’ reports ssued by KPM Accountants NV and KPM
LLP, on the consoldated results of the roup, as set out n the fnancal
statements, were unqualfed and contaned no exceptons or emphass of matter
For more detals see pages 85 to 89 of the overnance and Fnancal Report
The consoldated fnancal statements have been prepared n accordance wth
IFRS The crtcal accountng polces and those that are most sgnfcant n
connecton wth our fnancal reportng are set out n note 1 on pages 94 and 95 of
the overnance and Fnancal Report and are consstent wth those appled n 2014
* ertan measures used n our reportng are not defned under IFRS For further nformaton about these
measures, please refer to the commentary on non-AAP measures on pages 38 and 39
35Unilever Annual Report and Accounts 2015 Strategic Report
FINANIAL REVIEW 2015